1. Suppose a company's price function is p (x) = 4 – In x where p is the price of the %3D product (in dollars) at which a quantity of X items (in thousands) will be sold. Please address each of the following questions: R (x) a. Find the company's revenue function that revenue is priceX quantity). R' (x) (recall b. Find the derivative of the revenue function. c. Find the quantity, *, that will maximize the company's revenue. d. Find the price, P, that will maximize the company's revenue. e. What is the company's maximum revenue?

Calculus: Early Transcendentals
8th Edition
ISBN:9781285741550
Author:James Stewart
Publisher:James Stewart
Chapter1: Functions And Models
Section: Chapter Questions
Problem 1RCC: (a) What is a function? What are its domain and range? (b) What is the graph of a function? (c) How...
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1. Suppose a company's price function is
p (x) = 4 – In x where p is the price of the
%3D
product (in dollars) at which a quantity of X items
(in thousands) will be sold.
Please address each of the following questions:
R(x)
a. Find the company's revenue function
that revenue is priceX quantity).
R' (x)
(recall
b. Find the derivative
of the revenue function.
c. Find the quantity, *, that will maximize the
company's revenue.
d. Find the price, P, that will maximize the company's
revenue.
e. What is the company's maximum revenue?
Transcribed Image Text:1. Suppose a company's price function is p (x) = 4 – In x where p is the price of the %3D product (in dollars) at which a quantity of X items (in thousands) will be sold. Please address each of the following questions: R(x) a. Find the company's revenue function that revenue is priceX quantity). R' (x) (recall b. Find the derivative of the revenue function. c. Find the quantity, *, that will maximize the company's revenue. d. Find the price, P, that will maximize the company's revenue. e. What is the company's maximum revenue?
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